Answer:
On the 50th day, the purchase cost will be equal to the lease cost
Explanation:
Given that:
- Daily operating costs of $500
- Purchasing cost for the item: $10,000
- Lease amount: $700
Let x is the number of days the purchase cost be the same as the lease cost. As we now that:
The total cost should be equal to the total lease received
<=> 10,000 + 500x = 700x
<=> 200x = 10000
<=> x = 50
Hence, on the 50th day, the purchase cost will be equal to the lease cost
Answer:
Home-based work
Explanation:
Home based work is a type of work in which the individual carry out their functions and responsibilities from the comfort of his/her home. The employee makes contact with the company through the phone or internet.
Home-based workers sell goods to the customers directly from the house. The advantages of working from home include:it gives the individual control over their schedule, it's creates time for personal growth, it reduces the unnecessary money spent on transportation, it gives the employee full control over their income.
Answer:
b. Net Income
e. Cash from Investing Activities
Explanation:
Calculation to determine Which of the following items would be increased by the sale of the marketable securities
Using this formula
Gain from investment = Selling price of the security - Value of the security
Let plug in the formula
Gain from investment= $93,000 - $85,000
Gain from investment= $8,000
Based on the above calculation The sell of marketable security will INCREASE CASH which means that CASH FROM INVESTING ACTIVITIES will increase and NET INCOME will increase.
Therefore the items that would be increased by the sale of the marketable securities are :
b. Net Income
e. Cash from Investing Activities
Answer:
- The modified internal rate of return for PROJECT A:
b. 24.18%
- The internal rate of return for Project B :
b. 35.27%.
Explanation:
The mean difference between the MIRR and the IRR it's that the IRR assumes that the obtained positive cash flows are reinvested at the same rate at which they were generated, while the MIRR considers that these cashflow will be reinvested at the external rate of return, this case 10%.
Project A Y1 Y2
-$95,000 $65,000 $75,000
24,18% MIRR
Project B -$120,000
Y 1 $64,000
Y 2 $67,000
Y 3 $56,000
Y 4 $45,000
TIR 35,27%
